Falk Noam Is the Internal Auditor for Matan Incorporated

question 9

Multiple Choice

Falk Noam is the internal auditor for Matan Incorporated.Before investigating the HRM / payroll cycle at Matan,Falk decided to read up on the proper segregation of duties regarding payroll disbursement processes.For strongest segregation of duties,the ________ should periodically observe the paycheck distribution process.

• A)accounts payable department
• B)cashier
• C)internal audit department
• D)external auditor

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Definitions:

Cost Index

An index that measures the change in cost of a specific basket of goods and services over time.

Ending Inventory

The aggregate value of goods up for sale at the termination of an accounting interval.

Financial Reporting

The process of producing statements that disclose an organization's financial status to management, investors, and the government.

Inventory Cost Flow Assumption

A method used in accounting to determine the cost of goods sold and ending inventory value, examples include FIFO, LIFO, and average cost methods.